Taxes

Stuart Anderson Excerpts

Wednesday 12th November 2025 Commons Chamber

[James Murray]

My hon. Friend is absolutely right to point out the damage that recklessness in public office can cause families right across the country—not just for one day, but for months and years beyond that. The Conservative party is desperate for us to forget what happened when Liz Truss and Kwasi Kwarteng were in Downing Street. But the British people will not forget, and they have been feeling the impacts for many years.

The Conservative party talks about public spending but its record on public spending is abysmal. It spent years in office with money lining the pockets of dodgy PPE providers as the bill for asylum seekers’ hotels soared. As my hon. Friend the Member for Halesowen (Alex Ballinger) just said, no debate on the Conservative record on tax and spend can be complete without mentioning the mini-Budget. Conservative Members are desperate for the British people to forget what happened three years ago and what the Conservative party foisted on the country. They are desperate to forget that their reckless unfunded tax cuts crashed our economy, damaged our international reputation and added hundreds of pounds to families’ mortgage costs. While British homeowners have been living with the consequences of the Conservatives every day, Conservative Members are all too conspicuous in their efforts to sweep their record under the rug.

True leadership is about not ducking the difficult decisions but confronting them head-on with a clear focus on priorities and values. That is what the Chancellor has promised to do in this Budget. As she set out last week, we will secure this country’s future with a Budget for growth led by this Government’s values of fairness and opportunity. We will do not what is politically expedient but what is necessary to protect families from high inflation and high interest rates; to protect and strengthen our public services, rejecting the austerity that Conservative Members seem keen to impose on our country once again; and to ensure that the economy that we leave to future generations is secure, with debt under control.

Our focus on cutting debt is crucial. We inherited a national debt of about 100% of GDP and since the spring the cost of borrowing has risen for Governments around the world. Today one in every £10 of taxpayers’ money in the UK is used to pay the interest on our national debt. That money should be going to our NHS, our schools, our police and our armed forces. Instead, it is going to our creditors. That is not what people pay taxes for.

[Stuart Anderson (South Shropshire) (Con)]

The Minister talks about the building up of debt. Does he understand that when Labour was last in power, debt went up from 36% of GDP to about 76% of GDP? That massive increase built the foundation of the debt that we have today.

[James Murray]

I am very aware of the foundation of debt that we inherited at the election last year—of around 100% of GDP. That, combined with global borrowing prices, leaves us in this position. We are determined to change that because we know that the less we have to spend on debt interest, the more we can spend on the priorities of working people, the more we can invest in our infrastructure and industry, and the more resilient we can make our public finances, building the headroom to withstand global turbulence while giving businesses the confidence to invest.

--- Later in debate ---

[Charlie Maynard (Witney) (LD)]

There is a real irony in the fact that the Conservative party has tabled a motion calling for the control of public expenditure and for trust to be returned just three years after a notorious mini-Budget that saw the biggest set of unfunded spending commitments in recent memory and that continues to damage the markets’ confidence in UK fiscal credibility. We still pay the so-called moron premium, driving up interest expenses on Government borrowing, which are now running at £131 billion a year. That is money out of the pockets of everyone across this country and we are still living with the real-world impact of that, because debt in the UK has gone from £0.5 trillion in 2005 to £2.9 trillion today. That is up six times in 20 years—and who has been running the country for the majority of those years?

[Stuart Anderson]

It is interesting that the hon. Member raises the moron increase. I point out that we are no longer in government. The hon. Member’s party was also in government from 2010 to 2015.

[Charlie Maynard]

I think the hon. Gentleman will find that the moron premium relates to Liz Truss. People are feeling pressures and that has a huge impact on everybody individually. Pay cheques go less far, tax bills are higher and small luxuries such as having a slice of cake or a pint, or taking the family to the pub, are increasingly out of reach for many people. That hurts, and it is all on the back of stagnant economic growth. Those facts are all the enduring legacy of the disastrous decisions that the Conservative party made. [Hon. Members: “The coalition!”] It is fun to keep saying “coalition” but, sorry, this is more recent than that. We want to back—

--- Later in debate ---

[Sam Rushworth]

The only vote we ever had on the issue was a vote for or against an Opposition day motion. I was always clear that the original threshold that the Government set was far too low. I do not think that millionaires and asset-rich, wealthy pensioners should receive the payment. The policy, as it now stands, and as it will be for pensioners in my community this winter, is as it should be.

[Stuart Anderson]

You voted for it when voting for the Budget.

[Sam Rushworth]

I voted against a motion saying that the payment should be a universal benefit, because I do not think that it should be universal, and I argued for where I thought it should be.

The Conservatives are right about one thing: we do need to control spending. We should not listen to those on the left who think that there is a magic money tree. There is not. Many of my colleagues on the Government Benches and I know how flippin’ difficult it is to get money out of the Chancellor, because she has this difficult job of having to control public spending. Let us talk about that for a minute. The Conservatives failed to invest in our public services, infrastructure and growth when they were in government, but let us also look at what they did on profligate waste. They spent £73,000 in 2019 topping up the Government’s wine cellar; £1.7 million painting Boris Johnson’s prime ministerial planes, including £800,000 on a Union Jack; £500,000 in a single year on chauffeuring ministerial red boxes around Whitehall; £11 million changing the colour of our passports; and £120 million on their festival of Brexit.

--- Later in debate ---

[Stuart Anderson (South Shropshire) (Con)]

It is interesting to follow the hon. Member for Bishop Auckland (Sam Rushworth), who clearly has an ideology that he believes.

As a Conservative, I believe in lower taxes, and that people have a better understanding than Governments of how to spend their own money. I want to see more South Shropshire constituents keep more of what they earn. Last year’s Halloween Budget hoicked taxes by £40 billion a year. It included a hugely damaging rise in employer national insurance contributions, which has added almost £1,000 to the cost of employing someone. We are stunting the wealth creators, and that is not acceptable. The Chancellor did that with one hand, and withdrew support from our suffering high streets with the other. Pubs will have to pay an extra £3,000 on average because of the changes to business rates, and they are feeling it.

The latest statistics have confirmed that economic growth has flatlined, despite the Chancellor’s promise to

“lead the most pro-growth, pro-business Treasury our country has ever seen, with a laser focus on delivering for the working people”.

How is that going? Since last year’s Budget, a huge number of people—the figure is approaching 180,000—are out of work. Jobs have been lost, and unemployment is up to 5%.

A year ago, the Chancellor told the country that she would not come back with any more tax hikes. The slate had been wiped clean. She clearly said on TV: “This is what I will be doing, and I will not have to come back.” No matter what reason they come up with, if the Government break that manifesto promise, I believe it will hurt them beyond what they believe possible. They have run out of road in their continual blaming of the previous Government. However, it seems almost certain that that is what will happen, so pensions, savings, cars and houses are all sadly in the frame for Labour’s Budget.

South Shropshire is a big rural constituency, so let us consider rural prosperity. The Chancellor’s policies have killed growth, fuelled inflation and reduced opportunities for South Shropshire residents. On average, productivity, earnings and ease of access to further education are all lower in rural than in urban areas. Closing those gaps could add billions to England’s economy. A stronger economy is needed to enhance public services. I agree with the hon. Member for Bishop Auckland that we need strong public services, but we cannot stifle private industry and businesses to get them.

The shadow Chancellor, my right hon. Friend the Member for Central Devon (Sir Mel Stride), has shown how huge savings can be made at the same time as cutting taxes for working people. If the shadow Chancellor and shadow Treasury team set out clear objectives, we should put party politics behind us and adopt some of them for the good of the country.

The family farms tax is crippling farmers in South Shropshire. I have a huge rural constituency—25% of my constituents work in the agriculture industry—and the tax is really hurting it. The Budget must reverse the cruel family farm tax, which needs to change. Farmer confidence has dropped to its lowest-ever level on record. More than 6,000 farms have already closed under this Government. That is concerning, and it is a threat to food security.

The Budget must also reverse some measures to release the stranglehold on the high street. Every Member would struggle to find a business in their constituency that says, “I am enjoying the measures that have been put in.” More than a thousand pubs and restaurants on our high streets have already gone—that is the equivalent to two every single day. That is an issue. I welcome the fact that a future Conservative Government would abolish business rates for thousands of retail, hospitality and leisure businesses. That would stimulate growth, and we could then invest in the areas where we need to.

[Dr Luke Evans]

This toxic concoction creates a cumulative cycle. The pubs that do survive have to reduce staffing and hours. In rural areas, that might increase loneliness and reduce opportunities for young people to get jobs. That cyclical nature means a spiral into decline. I am concerned about that in my area. Does my hon. Friend share that concern for his area?

[Stuart Anderson]

I certainly do. You raise a huge point—

[Madam Deputy Speaker (Caroline Nokes)]

He raises.

--- Later in debate ---

[Stuart Anderson]

He raises a huge point. In my constituency of 700 square miles, the local pub and village hall are community hubs. After Remembrance Sunday, I took my family to the Queens in Ludlow. I have met many publicans across South Shropshire. Experienced publicans are still just able to keep trading on reserves, but they are not really making a profit. The ones who are just setting out to build up that reserve are going broke. It is just not a viable situation for them at the moment.

Council tax bills doubled in the time that Labour was last in power, representing an extra £751 on an average band D home. The Conservatives put in veto powers to ensure that council tax did not increase over a certain amount. We allowed local areas to receive the funding that they wanted by raising council tax within 5%, but without excessive rises. At the moment, less funding is going into rural areas but council tax is going up by a dramatic amount, so people are paying more and getting less.

The County Councils Network has named Shropshire council as one of 16 local authority areas that will see significant cuts in direct Government funding. It suggests that there will be about £9 million of cuts to Government funding over the next three years. That will affect many different services, including Shropshire Fire and Rescue Service, which has said so on record.

I have written to many constituents as part of my “shop local” survey, and I have heard from almost 10% of them—thousands of people have responded. People say that they love going to the local high street and want to do so. However, the footfall numbers are dropping. Businesses say that they do not have confidence, and that it is getting harder and harder to trade. That is causing major issues on the high street. We must release the stranglehold on the high street and encourage growth. The biggest factor, businesses tell me, is the tax hikes, which are crippling. I make a plea to the Government to change their approach to taxing small businesses, or they will destroy the country.

[Lincoln Jopp]

Will my hon. and gallant Friend take an intervention from any Labour Member who is prepared to say that they have spoken to a business in their constituency that welcomes the NI tax increase?

[Stuart Anderson]

I will gladly take an intervention from any Labour Member whose local businesses say that the tax on local business is good. Anyone?

[Sam Rushworth]

I spoke to a business in my constituency that said it understands why the Chancellor made that decision. One of its biggest concerns is the number of days that it loses to sickness, and it understands the importance of improving public services and of having a better educated and healthier workforce.

[Stuart Anderson]

I am happy that you intervened, and if you support tax hikes for your—

[Madam Deputy Speaker]

Order.

[Stuart Anderson]

I will start that again, Madam Deputy Speaker. I am happy that the hon. Gentleman intervened. If he speaks to businesses across his constituency, they might say that they understand the tax hike, but I am asking if any of them support it. I am happy if he wants to intervene to say that they do.

Despite the huge pressures, I will continue to campaign for funding and support that enables businesses to thrive. The biggest area is tax cuts, and it remains a vital part of my focus to unleash rural prosperity for South Shropshire. I urge colleagues across the House to vote down any future tax rises.

--- Later in debate ---

[John Slinger]

Frankly, it took 14 years for the Conservatives not to apologise for any of the decisions they took, so I do not think we need any lectures from the hon. Member or from other Conservatives.

Contrast our values with the values of the Conservatives: austerity, financial recklessness under Liz Truss, and a dodgy Brexit deal. We cannot return to austerity and economic chaos.

[Stuart Anderson]

I thank the hon. Gentleman for talking highly of my constituency—Ludlow is lovely. Does he realise that austerity started under the Labour Government when they were last in power? They started measures to make cuts in 2008-09.

[John Slinger]

I absolutely accept that the previous Labour Government took difficult decisions towards the end of their tenure in office following the global financial crisis. What happened from 2010 onwards was unnecessary and reckless, and we are all still paying the price to this day.